Abe Declines to Comment on Tokyo Stock Prices

Tokyo, May 24 (Jiji Press)--Japanese Prime Minister Shinzo Abe declined Friday to comment on the precipitous fall of Tokyo stock prices on the previous day. "I cannot comment on stock prices," Abe told a House of Councillors plenary meeting. The benchmark 225-issue Nikkei average finished Friday's morning session up 383.92 points, or 2.65 pct, at 14,867.90 after slumping 7.32 pct on Thursday. The prime minister warned against a rapid rise in long-term interest rates and signaled his intention to continue watching Japanese government bond market developments. "If a sharp rise (in long-term rates) happens, the economy, public finances and people's lives could be affected seriously," he said. In interdealer trading Friday, the key 10-year JGB yield was up 0.040 percentage point at 0.875 pct in late morning after volatile swings between 1.0 pct, a 14-month high, and 0.825 pct on Thursday. Separately, Economic and Fiscal Policy Minister Akira Amari said there is no need to lose calm about the financial market turbulence noting that the government is doing what it needs to and the Bank of Japan is having dialogue with market participants. Finance Minister Taro Aso told a news conference that ending deflation will help strengthen confidence in Japan. "Japan's economy is recovering steadily," Chief Cabinet Secretary Yoshihide Suga said. "It is extremely important to respond calmly." END